Egypt has directed international oil companies to double production by 2030, Energean International Chief Executive Officer (CEO) Nicolas Katcharov told Reuters on Tuesday, saying existing contracts must be revised to spur new investment.
Katcharov said the low gas prices that supported earlier development phases had “expired”, making it necessary to update terms to encourage companies to deploy capital and boost production at brownfield sites.
“I can’t tell the exact price, but there is a huge gap between domestic gas prices and imported gas prices,” he said.
He said Energean had been owed more than $200 million by Egypt and had recently received $80 million, adding that the firm remained confident in pledges by the petroleum minister to clear remaining arrears.
Katcharov also said gas flows from Israel to Egypt had risen, with the pipeline now operating at full capacity.
The petroleum ministry did not immediately respond to a request for comment.
–Reuters–
